Bovis says the future looks rosy

Bovis Homes defied fears of a house market downturn yesterday with an upbeat trading statement.

Chief executive Malcolm Harris said: "With our excellent land holdings and improved product range, we are in a good position to deliver another set of positive results in 2004."

He was speaking as the group unveiled an increase in sales in the past six months, against the first half of the year. The operating margin is expected to show an increase for the full year, while completions for the year ended December 31 are also ahead of target.

The shares gained 2 to 455p, as Mr Harris said reservations so far this year were 10pc ahead of last year. He added that prices were also 10pc ahead due to "improved specifications, locations and sales inflation".

The news coincided with a report from the biggest mortgage lender Halifax, which said there were signs of slowing house price rises this year, despite a strong rise in December.